How is my Stock Registered?

Previously, stock ownership was based on who held the physical paper certificate that represented stock shares. As the brokerage industry has modernized, the most common way to indicate stock ownership is through “street name registration”.

What is street name registration?

When you purchase stocks in an investing account, they are listed as being owned by the brokerage firm. However, the brokerage firm records the purchaser as the “beneficial owner."

This means that while the brokerage firm will appear as the owner on the stock issuer's books, the investor will receive all the actual benefits of owning the stock.

What are the benefits of street name registration?

Street name registration:

  • Allows investors to sell their shares faster than with physical certificates
  • Prevents potential loss of physical certificates
  • Offers investors order types that can only be executed by broker-dealers

When you purchase stock through Cash App Investing, your shares are automatically held using street name registration.

To learn more about street name registration, feel free to check out this SEC link.

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